All Forum Posts by: Davina Edalat

Matt at TRE has been extremely helpful in finding rentals. I highly recommend reaching out. 

IMHO, Austin is overpriced and too many people are trying to invest there. It's superheated, just like the big coastal cities. And that hot, hot market has a big tax implication in Texas, where property taxes are higher than some of us are used to in other parts of the country. I have a friend whose dad owns 20-something doors there and even though he built some of them 25 years ago when land was dirt cheap, he's struggling to get them to cash flow positive when faced with annual $300-400 per door tax increases. He just can't shove all those increases on to the tenants without creating vacancies that tank his cash flow from the other end. 

It's a market where people are banking on appreciation vs. cash flow (aka a bubble) and I wouldn't put money there unless it was an exceptional deal. Not that there aren't exceptional deals in every market, but it's unlikely that long distance investors new to the market are getting access to them. 

That said, I'm working on two deals outside of Houston. Numbers seem to be much better there, the people I've been dealing with have been friendly and professional, and it's in that sweet spot between hot-hot-hot and completely stagnant.